Sunday, March 10, 2013

Here's a weekly chart of NEM that I first posted back in 5/17/2012 of last year (click here to see my previous post) when the 14 length RSI became oversold below 30%. As you can see via this 20 year chart, whenever the weekly 14 length RSI became oversold on NEM, it was only a matter of time before some kind of bounce occurred.

As you can see from the chart, sometimes it signaled a major bottom, and sometime it simply produced just a bounce in a downtrend, however some kind of tradeable bounce always occurred.

Currently the weekly 14 RSI is now slightly below 30%, which is technically oversold. Let's see if some sort of bounce will begin soon.